Man arrested after one of the worst cases of animal cruelty ever.

Police have arrested a 63-year-old man over what has been described as one of the worst cases of animal cruelty ever.

More than 40 horses were found dead or malnourished on the Victorian property.

Neighbours made the grim discovery in Bulla after investigating the source of a smell that had been bothering them for some time.

When police and the RSPCA investigated they found twenty-two horses dead and another needed to be euthanised by a vet.

A further 22 horses were suffering from malnutrition.

Yesterday a 63-year-old man was arrested by police.

RSPCA spokeswoman Natalie Filmer told The Herald Sun if the owner was found guilty of causing death by neglect, they could face up to two years imprisonment, a $74,620 fine and be banned from owning any animal for at least ten years.

A further 22 horses were suffering from malnutrition. Image via IStock.

There are reports that the property was a failed business venture which hoped to starting a riding school but it never eventuated.

RSPCA officer Amanda Swift told Ten Eyewitness News.

"This was a huge military operation to safely remove stallions, pregnant mares and foals from the location."

The discovery comes two days after RSPCA officers in Western Australia rescued more than 20 malnourished horses from a failed riding school about 22km north of Perth.